Nordea shows hand, upgrades salmon shares

Analyst and long-time salmon-share “pessimist” reverses course

Marine and seafood-focused, Nordea Markets, has adjusted upward its expectations for the seafood sector and upgraded its recommendation on most of the shares they cover.

The brokerage’s favourite is Leroy Seafood Group which has been upgraded to “buy” from “hold” with a price target of 65 kroner, reports TDN Finans.

Analyst Kolbjorn Giskeodegaard has repeatedly said, “the party’s over” for the sector. The industry’s status thus far in 2018, however, indicates rising demand which has sent the average per-kilo salmon price up over EUR 6.3 this year.

“Our main worry for the sector has hitherto been falling prices. That scenario has played itself out, and the bottom in our opinion has passed,” the brokerage wrote.

Salmon prices responded positively to the Nordea recommendation. Rising most is Grieg Seafood, up 4.6 percent; Leroy Seafood, up 4.5 percent and and NRS, up 3.7 percent in early Oslo trading on Tuesday.